Hi All ,
What is the use of the Prenotes in Bank module?
In which case we will the prenotes ?
Does prenotes functionality posts any entries to General ledger ?
Thanks and Regards
Any pioneer had implemented this functionality ?
Any help from pioneer regarding this functionality ?
A prenote (preauthorization) is a zero dollar transaction created and sent through the ACH network to test the validity of a payor's/payee's bank account information that was provided at the time of enrollment or if subsequently changed. The prenote transaction checks the validity of the bank transit-routing number and the payor's/payee's bank account number. If your money is not there yet maybe you should contact your payroll officer.
If you say it's a zero-dollar transaction, what money are you expecting as mentioned in your last statement?
To my understanding, this is just a precheck/ validation; by the system to verify that the bank details provided are entered correctly and their confirmation from the banking system.
Banks basically use prenotes to verify the accuracy of account data, such as routing numbers and account numbers.